Going Limited from Umbrella...?

[Nixon Williams]

Your 1st point:
Probably wount be able to claim this VAT back till year end?

Your 2nd point:
No need to keep reciepts for stuff im claiming? What typical item purchases does this include?

Who pays the VAT? The client or the Agency? I think my agency pays the vat at the moment according to Giant's invoices.

Just looked at my sector (civil engineering) at the HMRC site and it is 12.5%

VAT is accounted for on a quarterly basis, if you are on the Flat Rate scheme you simply pay over a % of the gross turnover.

If you are on the normal VAT scheme you pay over the VAT you have charged less any that you are reclaiming.

The VAT is added to your fees and paid to your company, you hold onto these ubtil paid over with the VAT return every 3 months.

You DO need to keep receipts - you need them for corporation tax etc so keep them.

Alan

[Maxamus]

You charge 17.5% on everything.

You give HMRC 12% of what you brought in (11% in the first year). (or maybe its 11% and 10%)...

Basically its easier and less need to keep reciepts etc for stuff you are claiming. Anything over £2k can be claimed.

Your 1st point:
Probably wount be able to claim this VAT back till year end?

Your 2nd point:
No need to keep reciepts for stuff im claiming? What typical item purchases does this include?

Who pays the VAT? The client or the Agency? I think my agency pays the vat at the moment according to Giant's invoices.

Just looked at my sector (civil engineering) at the HMRC site and it is 12.5%

[Lowery]

Brief description here. Also google "VAT Flat Rate Scheme" which will deliver more than a few explanations.

http://www.hmrc.gov.uk/manuals/bimmanual/bim31585.htm

Talk to your accountant to see if it fits with you....

[Sockpuppet]

You charge 17.5% on everything.

You give HMRC 12% of what you brought in (11% in the first year). (or maybe its 11% and 10%)...

Basically its easier and less need to keep reciepts etc for stuff you are claiming. Anything over £2k can be claimed.

or....

Normal vat.

You charge 17.5% on everything, you claim back 17.5% on everything.


If you are earning under £100k/year generally its more effective to be on the flat rate. As it gives you more money.

[Maxamus]

BTW if you are only selling your time ask your accountant about the VAT Flat Rate Scheme.

what is this VAT flat rate scheme?

[Spacecadet]

3. You'll need to pass the Agnecy your new bank account details. I am with HSBC (the free online business account) and it took only a couple of hours to setup by going into the nearest branch. Make sure you take all the relivant documentation (e.g. Cert of Incorporation).

A couple of hours?? I was in and out again well within 30 minutes! Maybe it works a lot quicker if you are already a personal customer

BTW if you are only selling your time ask your accountant about the VAT Flat Rate Scheme.

I can definitely recommend this, plus the extra 1% first year trading discount

[Lowery]

1. As mentioned as the Director of your new spanking Ltd Co you will need to sign a new contract between your Ltd Co and the Agency. Make sure they list your Ltd Co on the contract...not your name.

2. I use SJD and have found them good.

3. You'll need to pass the Agnecy your new bank account details. I am with HSBC (the free online business account) and it took only a couple of hours to setup by going into the nearest branch. Make sure you take all the relivant documentation (e.g. Cert of Incorporation).

4. I'm still up in the air about insurance as well. But I would join PCG (PCGPlus) and then look at what they have to offer through their website.

Took me about 3 days to set everything up.

BTW if you are only selling your time ask your accountant about the VAT Flat Rate Scheme.

[dude69]

Which business account is best to open with them? They have a few to choose from...

Abbey's small business account is good.

[Back In Business]

Open their most basic one (can't remember what it's called right now) unless you plan to turn more than £500K.

If you apply online they call you back before sending the paperwork out.

[Maxamus]

3. HSBC offer free business banking for small co's.....

Which business account is best to open with them? They have a few to choose from...

[Maxamus]

I have sent you a private message dealing with your points.

We can form a company for you the sameday, so no waiting around and it is sent out the sameday. Remember that the company is Free and there is no registration costs.

Look at our website for comments from clients and you are free to choose whatever bank you wish, although CaterAllen does offer a good deal.

Alan

Sent you a PM

[Nixon Williams]

Hi Guys

I am currently contracting as a highways engineer and have been for a couple of months. I initially setup an account with Giant Powerhouse but am now looking at switching to my own limited company.

I have a couple of questions:

1. Once i close my account with Giant (by clicking the P45 button on my portal) how do i organise where the agency sends the money to? Do i need to notify my agency of the change and give them the ltd business bank account numbers?

2. From what i've read Nixon Williams have been doing a good job and offer their service at a good rate and from this i am looking at using them as my accountants. Anyone have any testimonials for these guys...?

3. Can i choose which bank i want to have my account with? I know Nixon use Abbey but is this changeable. I'd rather bank with HSBC as i have used them for personal reasons for years and its more convieient.

4. Should i bother with Insurance? If so does anyone have any recommendations for providers which offer the service at a competitive rate.

I am currently paying Giant £140 a month to do my financial side of things which i personally think is way too high.
Nixon will do they service for £70.50 a month. So i need insurance. I Dont want to pay more than £120~ a month all inclusive.

How soon can i have my own ltd company up and opertaional?
I am paid weekly so want to go from Giant to my own Ltd with a few days so i dont miss out on pay.

All help will be appreciated.

I have sent you a private message dealing with your points.

We can form a company for you the sameday, so no waiting around and it is sent out the sameday. Remember that the company is Free and there is no registration costs.

Look at our website for comments from clients and you are free to choose whatever bank you wish, although CaterAllen does offer a good deal.

Alan

[Spacecadet]

1. You will need to arrange a new contract with the agency between your limited Co and them. The current contract will be between the agency and Giant.

3. HSBC offer free business banking for small co's, works for me although Cater Allen seem to be the forum favourite

[Maxamus]

Hi Guys

I am currently contracting as a highways engineer and have been for a couple of months. I initially setup an account with Giant Powerhouse but am now looking at switching to my own limited company.

I have a couple of questions:

1. Once i close my account with Giant (by clicking the P45 button on my portal) how do i organise where the agency sends the money to? Do i need to notify my agency of the change and give them the ltd business bank account numbers?

2. From what i've read Nixon Williams have been doing a good job and offer their service at a good rate and from this i am looking at using them as my accountants. Anyone have any testimonials for these guys...?

3. Can i choose which bank i want to have my account with? I know Nixon use Abbey but is this changeable. I'd rather bank with HSBC as i have used them for personal reasons for years and its more convieient.

4. Should i bother with Insurance? If so does anyone have any recommendations for providers which offer the service at a competitive rate.

I am currently paying Giant £140 a month to do my financial side of things which i personally think is way too high.
Nixon will do they service for £70.50 a month. So i need insurance. I Dont want to pay more than £120~ a month all inclusive.

How soon can i have my own ltd company up and opertaional?
I am paid weekly so want to go from Giant to my own Ltd with a few days so i dont miss out on pay.

All help will be appreciated.